Norwood Park Real Estate Market Forecast 2023

Norwood Park Real Estate Market Forecast 2023

Just an hour outside of downtown Chicago is a picturesque neighborhood made up of well-maintained, tree-lined streets and spacious verdant landscapes. Norwood Park is a hidden gem, beloved by its residents for its friendly community and small-town atmosphere. Named after a town in one of Henry Ward Beecher’s novels, Norwood Park consists of six neighborhoods, each interconnecting to create one seamless community rich with character and charm.

The houses in the area are usually historic in style, either due to preservation or an attempt to maintain visual continuity. Ranging from Victorian to Tudor to Bungalow, Norwood Park real estate honors the architectural styles often associated with Chicago. Norwood Park is a vibrant community, with each neighborhood home to festivals, concerts, and local vendor markets. However, minutes away, residents also have access to Chicago’s world-class events and attractions.

As one of the 29 townships found in Cook County, Illinois, this neighborhood borders Chicago, providing both suburban charm and access to one of the most vibrant cosmopolitan centers in the United States. Norwood Park is a cozy township with an exceptional school district and access to the Harlem and Northwest Highway buses, Harlem Blue Line, Chicago Metra, and O’Hare International Airport.

If you’re looking at purchasing a home here, you might be wondering what to expect in Norwood Park’s housing market. Here is a comprehensive real estate market forecast for Norwood Park.

Norwood Park housing market forecast 2023

When looking at a neighborhood's housing market, especially within a metropolis like Chicago, it is important to observe the city’s market as a whole. Taking note of the city’s real estate forecast can provide valuable context.

Are Norwood Park home values increasing or decreasing?

Major cities usually entice buyers due to their access to major industries, cultural options, and top-rated universities. As a result, median home values in the Chicago area have increased over the last year, with Norwood Park included in the demographic. The majority of homes on the Norwood Park housing market are single-family homes and are ideal for those who are looking to flee the downtown area and enjoy small-town life. Regarding appreciated value, Chicago’s appreciation potential is moderate, with an increase of 14.9%.

Are the interest rates for Norwood Park rising or lowering?

In June 2023, the Federal Reserve finally stalled rising interest rates. As we navigated the pandemic, interest rates dropped as demand rose, which, according to economists, fostered a seller’s market. Since then, Chicago’s interest rates stabilized somewhere between 5% and 6.25%, with the Fed pausing to evaluate the local economy before raising or lowering rates any further.

However, at the end of July, the Federal Reserve increased interest rates by a quarter of a point and signaled that other hikes might occur before the end of the year. In the last six months, the rates have rested between 6% and 7%, with public records showing most residents are using local mortgage lenders rather than relying on big banks, largely due to local lenders’ understanding of their particular markets.

Cook County housing market trends 2023

Major cities on the East and West Coast, such as New York City and Los Angeles, are seeing a mass exodus, with residents fleeing to smaller townships or different states. This great migration is largely due to their complex real estate markets and high cost of living. Chicago is experiencing a migration within Cook County, which has affected market trends. Second to Los Angeles, Cook County saw 94,344 residents move to surrounding states from July 2021 to July 2022. The cost of living in Norwood Park is higher than the national average.

When considering the repercussions of Covid-19, many families sought to move to suburban areas where they could have larger homes with more space for a better price.

Norwood Park median home prices 2023

When considering residential properties, the median sales price of homes is usually dictated by the location and the size of the property. Having a clear framework of the number of desired rooms and other features can help buyers plan their budgets accordingly. In 2022, median sales prices for single-family homes in Norwood Park hovered around $350,000.

Housing prices in Norwood Park are on trend with the city of Chicago for 2023. The average sales price for a home for sale in Chicago in June 2023 was $355,000, a slight drop of 3.3% since the same time last year. The city as a whole sold 934 single-family homes in the month of June.

Bottom line: should you invest in Norwood Park real estate market?

Yes. For growing families, working professionals, and retirees looking to downsize, Norwood Park is a fantastic community to choose from. Known for its historic elegance and fabulous homes, the area features multiple neighborhoods offering a range of amenities for potential buyers.

Though not advisable as a short-term investment, the Chicago housing market continues to be a solid investment long-term, with homes boasting steady appreciation inside the city’s suburban areas. Townships like Norwood Park are a haven for those who want the amenities and availability of big-city culture without the hassle of living in a downtown area.

While the cost of living is higher than the national average, residents of Norwood Park have an abundance of amenities at their fingertips: a central location close to boutiques, top-rated eateries, and memorable entertainment venues, small-town community culture, and valuable real estate. With interest rates projected to rise before the end of the year, now is the time to invest.

Are you ready?

If you’re eager to find homes for sale in Norwood Park, wish to sell your property, or simply want to know more about the local market, contact Trisha Kannon to find commercial or residential properties that meet your lifestyle or investment needs. Trisha is a top-ranked real estate professional with over two decades of experience helping buyers, sellers, and investors reach their real estate potential.

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Trisha brings an in-depth knowledge to every transaction. Providing up to date market analysis and guiding clients with an approachable style and unwavering integrity is her top priority.

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